Text: S.712 — 101st Congress (1989-1990)All Information (Except Text)

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Referral Instructions Senate

 
 
S 712 RIS
101st CONGRESS
1st Session
S. 712
[Report No. 101-120]
To provide for a referendum on the political status of Puerto Rico.
IN THE SENATE OF THE UNITED STATES
April 5 (legislative day, JANUARY 3), 1989
Mr. JOHNSTON (for himself, Mr. MCCLURE, and Mr. SIMON) introduced the
following bill; which was read twice and referred to the Committee on Energy
and Natural Resources
September 6, 1989
Reported by Mr. JOHNSTON, with an amendment
[Strike out all after the enacting clause and insert the part printed
in italic]
September 26 (legisltive day, SEPTEMBER 18), 1989
Ordered, jointly referred to the Committee on Finance and the Committee on
Agriculture, Nutrition, and Forestry, for the consideration of matters within
their respective jurisdictions, with instructions that if either committee
has not reported the legislation by the close of business November 1,
that the majority leader, after consultation with the Republican leader, be
authorized to order the bill discharged from either or both of the committees
which have failed to report
A BILL
To provide for a referendum on the political status of Puerto Rico.
  Be it enacted by the Senate and House of Representatives of the United States
  of America in Congress assembled,  [Struck out->] That-- []   (1) the United States of America recognizes the principle
 of self-determination and other applicable principles of international law
 with respect to Puerto Rico; and []   (2) the United States is committed to a process of
 consultation and negotiation with the people of Puerto Rico leading to a
 referendum on the issue of political status to be conducted in a fair and
 equitable manner. [] TITLE I [] SEC. 2. REFERENDUM. []   (a) IN GENERAL- An island-wide referendum shall be held in
 Puerto Rico in which qualified voters of the Commonwealth of Puerto Rico shall
 be presented a choice of three status options for Puerto Rico as follows:
 []   (1) statehood; []   (2) independence; or []   (3) commonwealth [] as set forth in titles II, III, and IV of this Act. []   (b) DATE OF REFERENDUM- The first referendum shall occur on
 , 1991, or on a date as may be mutually agreed by the three principal
 political parties, and during the summer of calendar year 1991. []   (c) RETURNS OF REFERENDUM- The returns of the referendum
 held under this Act shall be made to the Governor of Puerto Rico, who shall
 cause them to be canvassed in the manner provided by law for the canvass of
 votes cast in general elections in the Commonwealth of Puerto Rico. If there
 is not a majority in favor of one of the three options, then there shall be,
 on             , 1991, or on a date as may be mutually agreed by the three
 principal political parties, and during the summer of calendar year 1991,
 a runoff referendum between the two status options which had received the
 largest number of votes. Such referendum shall also include an option of `None
 of the Above'. The Governor shall certify to the President and to the Congress
 of the United States that decision of the people of Puerto Rico which received
 a majority of the votes cast, if a majority is obtained. []   (d) APPLICABLE ELECTION LAWS- The election laws of the
 Commonwealth of Puerto Rico shall apply to the referendum held under this
 Act. []   (e) Upon the effective date of this Act, the status
 option which has been certified by the Governor pursuant to subsection
 (c), shall go into effect in accordance with the appropriate title of this
 Act. [] TITLE II--STATEHOOD []   Whereas: Upon admission as a State, Puerto Rico would
 cease being a territory of the United States. []   Whereas: The Commonwealth of Puerto Rico would be admitted
 as a sovereign State of the Union, with its current Constitution, on an equal
 footing and in true permanent union with the other fifty States. []   Whereas: The new State of Puerto Rico shall be known as
 the Commonwealth of Puerto Rico; in Spanish it shall be known as `Estado
 Soberano de Puerto Rico'. []   Whereas: Admission to the Union has historically been
 a flexible and varied process which has been adapted to the individual
 circumstances of each new State. []   Whereas: Congress, has the constitutional power to facilitate
 the admission of new States. []   Whereas Congress is willing to provide for a smooth
 process of adjustment from the tax structure of the territorial status to
 the Federal fiscal system. []   Whereas: The Commonwealth of Puerto Rico assured of its
 reserved state right under the Constitution to continue to maintain both
 Spanish and English as its official languages, as well as of its right to
 preserve and enhance its particular cultural characteristics. []   Whereas: Statehood creates the only permanent union with
 the United States that is consistent with the `more perfect union' of equal
 States established by the United States Constitution. []   Whereas: Statehood entails fundamental political and
 economic betterment for the Commonwealth of Puerto Rico. []   Whereas: Statehood entails economic self-reliance and social
 justice, including parity for its residents in those aspects of Federal
 legislation that cover the residents of the several States. []   Whereas: Statehood means political equality, and,
 specifically, the right to participate in the process of election of the
 President and Vice-President of the United States as well as the right to
 elect two United States Senators and the corresponding number of Members
 of the United States House of Representatives. []   Whereas: Statehood means that all benefits and protections
 of the United States Constitution would be fully bestowed on the People
 of the Commonwealth of Puerto Rico together with the guarantee of full
 protection by the Federal judicial system. []   Whereas: Statehood entails the immediate full extension
 of Federal entitlements and legislation providing parity for the residents
 of Puerto Rico in all Federal programs. []   Whereas: The Commonwealth will assume all responsibilities
 of a State of the Union. []   Whereas: Statehood is a political formula recognized by
 the international community through Resolution 1541 (XV) of the General
 Assembly of the United Nations and through Resolution 1469 (XIV) of that
 body, which was adopted upon the admission of the new States of Alaska and
 Hawaii. []   Whereas: Statehood embodies the highest degree of autonomy
 and sovereignty in a true permanent union with the several States. []   Therefore: Be it resolved: []   SEC. 2. Subject to the provisions of this Act, and
 upon issuance of the proclamation required by section 7 of this Act, the
 Commonwealth of Puerto Rico (hereinafter referred to also as `the State') is
 declared to be a State of the United States of America, is declared admitted
 into the Union on an equal footing with the other States in all respects
 whatever, in compliance with the democratic mandate of the plebiscite held on
 for the resolution of Puerto Rico's final political status. The Constitution
 adopted by a vote of the People of Puerto Rico in the election held on
 June 4, 1951, has been found by Congress to be republican in form and in
 conformity with the Constitution of the United States and the principles of
 the Declaration of Independence, and was accepted, ratified, and confirmed,
 through Public Law 447 of the 82nd Congress, March 3, 1952. [] CONSTITUTION []   SEC. 3. The Constitution of the Commonwealth of Puerto
 Rico shall always be republican in form and shall not be repugnant to the
 Constitution of the United States and the principles of the Declaration of
 Independence. The current Constitution of the Commonwealth of Puerto Rico
 is hereby accepted as the constitution of the State. [] TERRITORY AND BOUNDARIES []   SEC. 4. Subject to the provisions of this section, the
 State shall consist of all of the territory, together with the territorial
 waters, of the Commonwealth of Puerto Rico. [] STATE TITLE TO LANDS AND PROPERTY []   SEC. 5. (a) The State and its political subdivisions shall
 have and retain title to all property, real and personal, which it currently
 holds. []   (b) Any lands and other properties that, as of the date of
 admission of Puerto Rico into the Union, are set aside pursuant to law for the
 use of the United States under any (A) Act of Congress, (B) Executive order,
 (C) proclamation of the President, or (D) proclamation of the Governor of
 the Commonwealth of Puerto Rico, shall remain the property of the United
 States; except that the Commonwealth of Puerto Rico (the State) shall have
 the exclusive right to explore, exploit, lease, possess and use all seabed,
 natural, and mineral resources lying within the two hundred mile economic
 zone continental shelf boundary around the waters of the Archipelago of
 Puerto Rico; however, all other rights of sovereignty in regards to the
 continental shelf and waters, shall belong to the United States except
 those already vested in Puerto Rico. []   (c) Not later than five years after the date of admission of
 the Commonwealth of Puerto Rico as a State of the Union, each Federal agency
 having control over any land or property that is retained by the United
 States pursuant to this section shall submit a report to the President
 and the Congress concerning the need for such land or property. If the
 President determines that any such land or property is no longer needed by
 the Federal Government, it shall be forthwith conveyed to the Commonwealth
 of Puerto Rico. []   (d) All laws of the United States reserving to the United
 States the free use or enjoyment of property which vests in or is conveyed
 to the Commonwealth of Puerto Rico or its political subdivisions pursuant
 to this section or reserving the right to alter, amend, or repeal laws
 relating thereto, shall cease to be effective upon the admission of the
 State into the Union. [] COMPACT WITH THE UNITED STATES: CLAIMS TO FEDERAL LANDS AND
 PROPERTY []   SEC. 6. (a) As a compact with the United States, the
 Commonwealth and its people recognize all rights and titles to any lands or
 other property not granted or conferred to the Commonwealth or its political
 subdivisions by or under the authority of this Act, the right or title to
 which is now held by the United States or subject to disposition by the
 United States. []   (b)(1) Nothing contained in this Act shall recognize, deny,
 enlarge, impair, or otherwise affect any claim against the United States,
 and any such claim shall be governed by applicable laws of the United
 States. []   (2) Nothing in this Act is intended or shall be construed
 as a finding, interpretation, or construction by the Congress that any
 applicable law authorizes, establishes, recognizes, or confirms the
 validity or invalidity of any such claim, and the determination of the
 applicability of any law to any such claim shall be unaffected by anything
 in this Act. []   (c) No taxes shall be imposed by the State upon any
 lands or other property now owned or hereafter acquired by the United
 States. []   (d) Nothwithstanding any other provisions of this Act or
 any other provision of law, in compensation for the lands now held by the
 United States, the Congress shall appropriate Federal payments to be assigned
 to the Commonwealth of Puerto Rico, in the amount of             annually,
 during the next        years, for the sole purpose of assisting the State
 in the payment of its present public debt and liabilities. [] ELECTIONS AND ADMISSION REFERENDUM []   SEC. 7. (a)(1) Not more than sixty days after the date of
 certification by the Governor of the Commonwealth of Puerto Rico as provided
 by this Act, the President of the United States shall certify the admission
 of Puerto Rico into the Union to the Governor of the Commonwealth of Puerto
 Rico. Not more than thirty days after such certification, the Governor of the
 Commonwealth of Puerto Rico shall issue a proclamation for the election of
 two United States Senators and the corresponding number of the United States
 Representatives in Congress as provided in this Act. The Governor of the State
 shall certify the election of the Senators and Representatives in the manner
 required by law. The Senators and Representatives elected shall be entitled
 to be admitted to seats in Congress and to all the rights and privileges
 of Senators and Representatives of the other States in the Congress of the
 United States. The office of Resident Commissioner shall cease to exist upon
 the swearing in of the first Member of the House so elected. []   (2) In the first election of Senators from the State
 (pursuant to section 7(a)(1)) the two senatorial offices shall be
 separately identified and designated, and no person may be a candidate for
 both offices. No such identification or designation of either of the two
 senatorial officers shall refer to or be taken to refer to the terms of such
 offices, or in any way impair the privilege of the Senate to determine the
 class to which each of the Senators elected shall be assigned. []   (b) Election returns shall be made and certified in such
 manner as provided by the electoral laws of Puerto Rico and in such a
 manner as the Commonwealth of Puerto Rico may prescribe. The Governor of
 the Commonwealth of Puerto Rico shall certify the results of such elections
 to the President of the United States. []   (2) The constitution of the Commonwealth of Puerto Rico,
 ratified by the people at the referendum held on June 4, 1951, shall become
 the Constitution of the State of Puerto Rico. The new State of Puerto Rico
 shall be known as The Commonweath of Puerto Rico. []   (3) Any legal dispute or controversy arising out of the
 electoral processes conducted under this act shall be adjudicated by the
 United States District Court for the District of Puerto Rico, and the
 Appellate Federal Court System. The Courts of the Commonwealth of Puerto
 Rico shall not have jurisdiction to entertain any suit, appeal, writ of
 revision or legal action, arising out of these elections, plebiscites and
 referendums. []   (4) The individuals holding legislative, executive,
 and judicial offices of the Commonwealth of Puerto Rico, shall continue
 to discharge the duties of their respective offices. Upon the issuance of
 the proclamation by the President of the United States and the admission
 of the Commonwealth of Puerto Rico as a State of the Union, the officers
 elected or appointed under the provisions of the constitution and laws of
 the Commonwealth shall proceed to exercise all the functions pertaining to
 their offices in, under, or by authority of the government of the States,
 as provided by the constitution and laws of the State. []   SEC. 8. The Commonwealth of Puerto Rico upon its admission
 into the Union shall be entitled to   Representatives, until the taking
 effect of the next reapportionment, and such Representatives shall be in
 addition to the membership of the House of Representatives as now prescribed
 by law. [] LAWS IN EFFECT []   SEC. 9. Upon admission of the Commonwealth of Puerto Rico
 into the Union, all of the territorial laws then in force in the Commonwealth
 of Puerto Rico shall be and continue in force and effect throughout the
 State, until amended, modified or repealed by the Commonwealth. All of the
 laws of the United States shall have the same force and effect within the
 State as elsewhere in the United States. [] CONTINUATION OF SUITS []   SEC. 10. (a) No writ, action, indictment, cause, or
 proceeding pending in any court of the Commonwealth of Puerto Rico, shall
 abate by reason of the admission of the Commonwealth of Puerto Rico into the
 Union, but shall proceed within such appropriate State courts as are now
 established under the Constitution of the Commonwealth, or shall continue
 in the United States District Court for the District of Puerto Rico, as
 the nature of the case may require. []   (b) All civil causes of action and all criminal offenses,
 which shall have arisen or been committed prior to the admission of the
 Commonwealth, but as to which no writ, action, indictment, or proceeding shall
 be pending at the date of such admission, shall be subject to prosecution in
 the appropiate State courts or in the United States District Court for the
 District of Puerto Rico in like manner, to the same extent, and with like
 right of appellate review, as if such State had been created and such State
 courts had been established prior to the accrual of such causes of action
 or the commission of such offenses. The admission of the State shall effect
 no change in the procedural or substantive laws governing causes of action
 and criminal offenses which shall have arisen or been committed, and any
 such criminal offenses as shall have been committed against the laws of the
 Commonwealth of Puerto Rico, shall be tried and punished by the appropriate
 courts of the State, and any such criminal offenses as shall been committed
 against the laws of the United States shall be tried and punished in the
 United States District Court for the District of Puerto Rico. [] APPEALS []   SEC. 11. Parties shall have the same rights of judicial
 review of final decisions of the United States District Court for the District
 of Puerto Rico or the Supreme Court of the Commonwealth of Puerto Rico,
 in any case finally decided prior to the admission of the State of Puerto
 Rico into the Union, whether or not an appeal therefrom shall have been
 perfected prior to such admission. The United States Court of Appeals for
 the First Circuit and the Supreme Court of the United States, shall have the
 same jurisdiction in such cases as by law provided prior to the admission of
 the State into the Union. Any mandate issued subsequent to the admission of
 the State, shall be to the United States District Court for the District of
 Puerto Rico or a court of the State, as appropriate. Parties shall have the
 same rights of appeal from and appellate review of all orders, judgments,
 and decrees of the United States District Court for the District of Puerto
 Rico and of the Supreme Court of Puerto Rico, in any case pending at the
 time of admission of the State into the Union, and the Supreme Court of the
 Commonwealth of Puerto Rico and the Supreme Court of the United States shall
 have the same jurisdiction therein, as by law provided in any case arising
 subsequent to the admission of the State into the Union. [] MILITARY LANDS []   SEC. 12. (a) Subject to the subsection (b) and
 notwithstanding the admission of the Commonwealth of Puerto Rico into the
 Union, authority is reserved in the United States for the exercise by the
 Congress of the United States of the power of exclusive legislation, as
 provided by article I, section 8, clause 17, of the Constitution of the United
 States, in all cases whatsoever over such tracts or parcels of lands as,
 immediately prior to the admission of the State, are controlled or owned by
 the United States and held for defense or Coast Guard purposes. []   (b)(1) The Commonwealth of Puerto Rico shall always have
 the right to serve civil or criminal process within such tracts or parcels
 of land in suits or prosecutions for or on account of rights acquired,
 obligations incurred, or crimes committed within the State but outside of
 such tracts or parcels of land. []   (2) The reservation of authority in the United States for
 the exercise by the Congress of the United States of the power of exclusive
 legislation over such lands shall not operate to prevent such lands from
 being a part of the Commonwealth of Puerto Rico, or to prevent the State from
 exercising over or upon such lands, concurrently with the Federal Government,
 any jurisdiction which it would have in the absence of such reservation of
 authority and which is consistent with the laws hereafter enacted by the
 Congress pursuant to such reservation or authority. []   (3) The power of exclusive legislation shall vest and remain
 in the United States only so long as the particular tract or parcel of land
 involved is controlled or owned by the United States and used for defense
 on Coast Guard purposes, except that the United States shall continue to
 have sole and exclusive jurisdiction over such military installations as
 have been or may be determined to be critical areas as designated by the
 President of the United States or the Secretary of Defense. [] UNITED STATES NATIONALITY []   SEC. 13. No provision of this Act shall operate to confer
 United States nationality, to terminate nationality lawfully acquired, or to
 restore nationality terminated or lost under any law of the United States or
 under any treaty to which the United States is or was a party. [] REPEAL AND AMENDMENT OF INCONSISTENT LAWS []   SEC. 14. All Acts or parts of Acts in conflict with the
 provisions of this Act, whether passed by the Legislature of the Commonwealth
 of Puerto Rico or by Congress, are hereby repealed or amended to conform
 with the provisions of this Act. [] NATIONAL FEDERAL LANDS AREA []   SEC. 15. (a) The Federal Lands reserved for the United
 States Government referred to in section 4 are those now held by the Federal
 Government. [] ECONOMIC ADJUSTMENT FROM TERRITORY TO STATE []   SEC. 16. Congress adopts the following economic provisions
 to expedite the adjustment of the Commonwealth of Puerto Rico from the
 tax structure of the territory to the fiscal and economic system of the
 State. []   (a) Provisions of the Internal Revenue Code concerning
 Federal Income Taxes shall immediately apply to Puerto Rico, provided that the
 proceeds of said taxes shall be transferred to the Treasury of Puerto Rico
 in an amount to be diminished by      percent of the monies collected each
 year for a      year period. Existing income tax laws of the Commonwealth
 shall stand repealed upon admission of the State. []   (b) Provision shall be made by Congress so that economic
 and fiscal exceptions of the Internal Revenue Code, already granted, such as
 those allowed under section 936 of said code, shall remain in full effect
 for      years and will be smoothly and gradually phased out thereafter,
 in such a way as to eliminate the prevalent uncertainty which impairs an
 orderly planning and which impedes the fulfillment of the job creation
 requirements for such credit, thus promoting investments and higher rate of
 employment, which will in turn reduce governmental and individual dependence
 while enhancing the economy of the State and the fiscal soundness of its
 government. []   (c) Pursuant to Congress, powers under the Constitution,
 an omnibus act with multiple provisions shall be enacted to ensure that the
 people of Puerto Rico attain equal social and economic opportunities with
 the residents of the several States. Said omnibus act shall also provide
 for measures necessary to assure appropriate continuity in the treatment
 given to Puerto Rico as a principal coffee producer and in the treatment of
 alcohol excise taxes; and shall also continue to provide for the transfer
 to the Treasury of Puerto Rico, for a period of      years, of the proceeds
 of Federal customs and duties levied on imports coming from foreign sources
 to Puerto Rico. []   [Detailed economic provisions, addressing the above proposals
 among others, will be furnished to the committee as soon as final technical
 work is completed.] [] TERMS AND CONDITIONS []   SEC. 17. The Commonwealth of Puerto Rico is assured of its
 reserved State right under the Constitution to continue to maintain both
 Spanish and English as its official languages, as well as of its right to
 preserve and enhance its rich Hispanic cultural heritage. However, all records
 and proceedings of all agencies, departments, offices and courts of the United
 States Federal Government operating in Puerto Rico, shall continue to be
 conducted and kept in the English language as heretofore. The Commonwealth of
 Puerto Rico's present Official Languages Act, 1 L.P.R.A. 51-55 (Laws of Puerto
 Rico, 1902), making Spanish and English official State languages is a State
 prerogative protected by the Constitution of the United States. []   SEC. 18. The State shall never enact any law restricting
 or abridging the right of suffrage on account of race, color, previous
 condition of servitude, or ability to read, write, speak, and understand
 any language sufficiently; and the rights, privileges and immunities of
 citizens of the United States shall be respected in Puerto Rico according
 to the provisions of paragraph 1 section 2 of article IV of the Constitution
 of the United States. [] TITLE III--INDEPENDENCE [] Subtitle 1--Statement of Purposes []   First: The United States hereby recognizes that Puerto Rico
 is historically, socially and culturally a Latin American nation which has
 been under the sovereignty of the United States since 1898. []   Second: The United States recognizes Puerto Rico's
 inalienable right to independence. []   Third: In order to best promote Puerto Rico's development
 according to its needs and resources and within the framework of present day
 interdependence, the United States recognizes Puerto Rico's sovereignty as
 a means to provide Puerto Rico with the political powers and the flexibility
 necessary to achieve this objective. []   Fourth: In order to insure lasting friendship, equitable
 economic relations, and the gradual elimination of the burden which Puerto
 Rico's extreme economic dependence represents for both nations, the United
 States declares its intention to guarantee all necessary conditions
 for a rational and mutually advantageous transition before and after
 independence. []   Fifth: It is the purpose of this title to recognize the
 independence of Puerto Rico as a sovereign and democratic nation, to provide
 the conditions necessary for an orderly transition from the present status
 to independence, and to guarantee the legitimate interests of both Puerto
 Rico and the United States. [] Subtitle 2--Transition Process Prior to Proclamation of
 Independence [] SEC. 2.1. CONSTITUTIONAL CONVENTION. []   (a) Should the results of the referendum provided for in
 title I of this Act favor independence as a status alternative for Puerto
 Rico, the Legislative Assembly of the Commonwealth of Puerto Rico shall
 provide for the election of delegates to a Constitutional Convention to
 formulate and draft a Constitution for the Republic of Puerto Rico. The
 election of delegates must by held within six months after the celebration
 of the aforementioned referendum. []   (b) Those qualified to vote in the election of delegates to
 the Constitutional Convention shall be: (1) all persons born and residing
 in Puerto Rico; (2) all persons residing in Puerto Rico and one of whose
 parents was born in Puerto Rico; (3) all persons who at the time of the
 adoption of this Act shall have resided in Puerto Rico for a period of
 twenty years or more; and (4) all persons who established their residence
 in Puerto Rico prior to attaining voting age and still reside in Puerto
 Rico; and (5) spouses of all persons included in (1), (2), (3), and (4)
 above. []   (c) The laws of the Commonwealth of Puerto Rico relating
 to additional voter qualifications and the electoral process shall apply
 to this election. []   (d) The Constitutional Convention shall meet within three
 months of the election of delegates at such time and place as the Legislative
 Assembly of the Commonwealth of Puerto Rico shall determine. []   (e) The Constitutional Convention shall exercise jurisdiction
 over all of the territory of Puerto Rico ceded to the United States by Spain
 by virtue of the Treaty of Paris the 10th day of December 1898. [] SEC. 2.2. CHARACTER OF THE CONSTITUTION. []   (a) The Constitutional Convention mandated under the
 previous section shall formulate and draft a Constitution establishing
 a republican form of government which shall guarantee the protection of
 fundamental human rights. []   (b) The fundamental human rights guaranteed by the
 aforementioned Constitution shall include such rights as due process and equal
 protection under the law, freedom of speech, press, assembly, association,
 and religion, as well as the rights of the accused, and economic, social
 and cultural rights such as the right to education, adequate nutrition,
 health services, adequate housing, and work or employment. [] SEC. 2.3. RATIFICATION OF THE CONSTITUTION. []   (a) The Constitution elaborated by the Constitutional
 Convention shall be sumitted to the people of Puerto Rico for its ratification
 or rejection. []   (b) The Legislative Assembly of the Commonwealth of Puerto
 Rico shall call for a special election for such ratification or rejection,
 to be held within three months of the adoption of the Constitution elaborated
 by the Constitutional Convention. []   (c) The special election providing all qualified voters
 the opportunity to cast a vote for or against the proposed Constitution
 shall be held in the manner prescribed by the Legislative Assembly of the
 Commonwealth of Puerto Rico. []   (d) Those qualified to vote in this election shall be
 those possessing the qualifications established in section 2.1 of this
 title. [] SEC. 2.4. ELECTION OF OFFICERS OF THE REPUBLIC. []   (a) Within thirty days of the ratification of the
 Constitution as provided for by section 1.3 of this title, the Governor of
 the Commonwealth of Puerto Rico shall issue a proclamation calling for the
 election of such officers of the Republic of Puerto Rico as may be required
 by the ratified Constitution. []   (b) The election of officers of the Republic shall be
 held not later than six months after the date of ratification of the
 Constitution. []   (c) The aforesaid election shall be held in accordance
 with the procedures and requirements established in the Constitution of
 the Republic of Puerto Rico. []   (d) The Governor of the Commonwealth of Puerto Rico
 shall certify the results of the election to the President of the United
 States. [] SEC. 2.5. JOINT TRANSITION COMMISSION. []   (a) A Joint Transition Commission shall be appointed in
 equal numbers by the President of the United States and the Constitutional
 Convention of Puerto Rico as soon as the favorable results for the
 independence option in the referendum provided for in title I of this Act
 are announced. []   (b) The Joint Transition Commission shall be responsible
 for expediting the orderly transfer of all functions currently exercised by
 the Government of the United States in Puerto Rico, or in relation to Puerto
 Rico; including the recommendation of appropriate legislation. []   (c) Any necessary task forces under the aegis of the
 Joint Transition Commission shall be constituted in the same manner as the
 Commission. []   (d) The Government of the Commonwealth of Puerto Rico and
 the agencies of the Government of the United States shall collaborate with
 the Joint Transition Commission and subsequently with the new officers of
 the Republic of Puerto Rico, to provide for the orderly transfer of the
 functions of government. []   (e) All members representing the Puerto Rican side on
 the Joint Transition Commission or on any task force shall be bona-fide
 supporters of Puerto Rican independence. [] SEC. 2.6 RESOLUTION OF CONTROVERSIES PRIOR TO
 INDEPENDENCE. []   (a) From the date of the referendum provided for in
 title I of this Act, and until the date of proclamation of independence,
 the Supreme Court and all inferior courts of the United States shall have
 no jurisdiction over any case or controversy arising from the operation of
 this Act. []   (b) Any question arising from the operation of this Act
 shall be referred to the Joint Transition Commission established in section
 2.5 for disposition through negotiation. Should the Commission be unable
 to reach a negotiated solution to a question, it shall submit all points
 in question to international arbitration. [] Subtitile 3--Proclamation of Independence [] SEC. 3.1. PROCLAMATIONS BY THE PRESIDENT OF THE UNITED STATES
 AND THE HEAD OF STATE OF THE REPUBLIC OF PUERTO RICO. []   (a) Not later than one month after the official certification
 of the elected officers of the Republic of Puerto Rico under section 2.4, the
 President of the United States shall by proclamation withdraw and surrender
 all rights of possession, supervision, jurisdiction, control or sovereignty
 then existing and exercised by the United States over the territory and
 people of Puerto Rico, and shall furthermore recognize on behalf of the
 United States of America the independence of the Republic of Puerto Rico
 and the authority of the government instituted by the People of Puerto
 Rico under the Constitution of their own adoption. The proclamation shall
 state that the effective date of withdrawal of the sovereignty of the United
 States and recognition of independence shall be the same as the date of the
 proclamation of independence, as provided in subsection (c). []   (b) The President of the United States shall forward
 a copy of the proclamation issued by him to the presiding officer
 of the Constitutional Convention of Puerto Rico within a week after
 signature. []   (c) Within one week after receiving the presidential
 proclamation and with the advice of the officer elected as head of state
 of the Republic, the presiding officer of the Constitutional Convention
 shall determine the date in which the Government of the Republic shall take
 office, and shall so notify the Governor of the Commonwealth of Puerto Rico
 and the President of the United States. []   (d) Upon taking office, the head of state of the Republic
 of Puerto Rico shall immediately issue a proclamation declaring: (1)
 that Puerto Rico has become a sovereign, independent nation; (2) that
 the Constitution of the Republic is thenceforth in effect; (3) that the
 Commonwealth of Puerto Rico and its Government have ceased to exist; and
 (4) that the Government of the Republic will henceforth exercise its powers
 and duties under its Constitution. [] Subtitle 4--Effects of the Proclamation of Independence
 [] SEC. 4.1. ON LEGAL AND CONSTITUTIONAL PROVISIONS. []   (a) Upon the proclamation of independence as provided in
 this subtitle, and except as otherwise provided in this title or in any
 separate agreements hereinafterwards concluded between the United States
 and the Republic of Puerto Rico-- []   (1) all property, rights and interests which the United
 States may have acquired over Puerto Rico by virtue of the Treaty of Paris
 of 1898, and thereafter by cession, purchase, or eminent domain, with the
 exception of such land and other property, rights, or interests as may have
 been sold or otherwise legally disposed of prior to the enactment of this
 Act, shall vest ipso facto on the Republic of Puerto Rico; []   (2) all laws of the United States applicable to the
 Commonwealth of Puerto Rico immediately prior to the proclamation of
 independence shall no longer apply in the Republic of Puerto Rico; and
 []   (3) all laws and regulations of the Commonwealth of Puerto
 Rico in force immediately before the proclamation of independence shall
 continue in force and shall be read with such modifications, adaptions,
 qualifications and exceptions as may be necessary to bring them into
 conformity with the Constitution of the Republic of Puerto Rico until
 such time as they shall be replaced with the new legislation: Provided,
 That any provisions that may be incompatible with the sovereignty of the
 Republic of Puerto Rico shall be deemed invalid. [] SEC. 4.2. ON JUDICIAL PRONOUNCEMENTS. []   (a) The Republic of Puerto Rico shall recognize and give
 effect to all orders and judgments rendered by United States or Commonwealth
 courts prior to the proclamation of independence pursuant to the laws of the
 United States then applicable to the Commonwealth of Puerto Rico. []   (b) All judicial proceedings pending in the courts of
 the Commonwealth of Puerto Rico prior to the proclamation of independence
 shall be continued in the corresponding courts under the Constitution of
 the Republic of Puerto Rico. []   (c) Upon the proclamation of independence, the judicial power
 of the United States shall no longer extend to Puerto Rico. All proceedings
 pending in the United States District Court for the District of Puerto Rico
 shall be transferred to the corresponding Puerto Rican courts of competence
 under the Constitution of the Republic of Puerto Rico for disposition in
 conformity with laws applicable at the time when the controversy in process
 arose. All proceedings pending in the United States Court of Appeals for
 the First Circuit, or in the Supreme Court of the United States, which may
 have initiated in the courts of the Commonwealth or in the United States
 District Court for the District of Puerto Rico shall continue until their
 final disposition and shall be submitted to the competent authority of the
 Republic of Puerto Rico for proper execution: Provided, That neither the
 United States nor any of its officers is a party, in which case any final
 judgment shall be properly executed by the competent authority of the United
 States. [] Subtitle 5--Transition Aspects Subsequent to Proclamation
 of Independence [] SEC. 5.1. CITIZENSHIP AND MIGRATION. []   (a) Every person who, having been born in Puerto Rico,
 is on proclamation of independence a citizen of the United States and a
 resident of Puerto Rico, shall become a citizen of the Republic of Puerto
 Rico on that date. []   (b) Every person born in Puerto Rico after proclamation of
 independence, and subject to the jurisdiction thereof, shall be a citizen
 of the Republic of Puerto Rico. []   (c) Every person born in Puerto Rico but not a resident
 thereof on proclamation of independence shall become a citizen of the
 Republic of Puerto Rico upon residing for six months and taking the oath
 of allegiance. []   (d) Every person not born in Puerto Rico before or after
 proclamation of independence, and residing therein, shall become a citizen
 of the Republic of Puerto Rico if either of his parents becomes a citizen
 of the Republic of Puerto Rico pursuant to subsections (a), (b), and
 (c). []   (e) Every person not born in Puerto Rico but married to
 a citizen of the Republic of Puerto Rico before or after proclamation of
 independence shall become a citizen of the Republic upon residing in Puerto
 Rico for six months and taking the oath of allegiance. []   (f) All other persons not specified in subsections (a), (b),
 (c), (d), and (e) but residing in Puerto Rico shall be granted citizenship
 in accordance with the Constitution and laws of the Republic. []   (g)(1) Every person who is a citizen of the United States
 and a citizen of the Republic of Puerto Rico in accordance with subsections
 (a), (b), (c), (d), (e), and (f) shall retain his United States citizenship
 and all rights, privileges, benefits and obligations pertaining thereto
 in an equal footing with all other United States citizens: Provided,
 That while residing in Puerto Rico that person shall not be subject under
 United States laws to compulsory military registration and service or to any
 other condition or obligation contrary to the sovereignty of the Republic
 of Puerto Rico. []   (2) Every person specified in subsection (g)(1) shall
 retain his Puerto Rican citizenship and all rights, privileges and benefits
 pertaining thereto in an equal footing with all other Puerto Rican citizens,
 and shall retain all of his obligations as a Puerto Rican citizen, except
 that while residing in the United States that person shall not be subject
 under Puerto Rican laws to compulsory military registration and service
 or to any other condition or obligation contrary to the sovereignty of the
 United States. []   (h) Every citizen of the United States who becomes a citizen
 of the Republic of Puerto Rico in accordance with subsections (a), (b), (c),
 (d), (e), and (f), can elect: (1) to relinquish his United States citizenship
 in accordance with United States laws; or (2) to relinquish his Puerto
 Rican citizenship in accordance with the laws of the Republic. []   (i) United States citizens residing in Puerto Rico,
 but not citizens thereof shall be entitled to the fundamental rights and
 freedoms accorded to all persons in Puerto Rico but shall not be eligible
 for political office and shall not be entitled to vote. They shall also be
 entitled to be naturalized as citizens of the Republic in accordance with
 nondiscriminatory laws of the Republic. []   (j) Citizens of the Republic of Puerto Rico residing in the
 United States but not citizens thereof shall be entitled to the fundamental
 rights and freedoms accorded to all persons in the United States but shall
 not be eligible for political office and shall not be entitled to vote in
 the United States. They shall also be entitled to be naturalized as citizens
 of the United States in accordance with nondiscriminatory laws of the United
 States. []   (k) Citizens of the Republica of Puerto Rico who are
 not United States citizens may, for a period of twenty-five years after
 proclamation of independence, enter into, lawfully engage in occupations,
 and establish residence as immigrants in the United States. These immigrants
 may be subject to nondiscriminatory limitations as provided for by laws
 and regulations of the United States. []   (l) Every resident of the United States born in Puerto
 Rico but not a citizen thereof, and his sons and daughters, may enter into,
 lawfully engage in occupations, and establish residence as immigrants
 in Puerto Rico subject to nondiscriminatory laws and regulations of the
 Republic. []   (m) Every person lawfully admitted for permanent residence
 within the United States and who is a resident of Puerto Rico on proclamation
 of independence shall continue as resident and shall be entitled to be
 naturalized as citizen of the Republic of Puerto Rico in accordance with
 nondiscriminatory laws of the Republic. [] SEC. 5.2. DEFENSE. []   (a) The UnitedStates shall collaborate with the Republic
 of Puerto Rico toward the ultimate goal of disarmament, peace, and
 international relations based on the principles of equality, mutual respect
 and interdependence. Furthermore, the United States recognizes the right
 of the People of Puerto Rico to strive toward the total demilitarization
 of its territory, with the purpose of gearing all its efforts and resources
 to the goals of economic and social development. []   (b) The Republic of Puerto Rico shall be closed to any
 and all military forces of foreign nations. In furtherance of this policy,
 and to expedite the orderly and gradual transfer of properties presently
 under the control of the United States for military purposes in Puerto Rico,
 the Governments of the United States and the Republic of Puerto Rico shall
 subscribe a separate agreement for a reasonable and mutually convenient
 period of transition. []   (c) Negotiations leading to the eventual agreement provided
 in paragraph (b) shall begin in a special task force designated for such
 purposes by the President of the United States and the Constitutional
 Convention of Puerto Rico pursuant to section 2.5 of this title. Should this
 special task, force be unable to reach an agreement prior to the proclamation
 of independence, the negotiations shall continue between representatives
 appointed by the United States and the Republic of Puerto Rico, until such
 time as an agreement may be reached. []   (d) The Republic of Puerto Rico shall be a nuclear free
 zone. The United States and the Republic of Puerto Rico shall adhere and
 fully comply with the provisions of the Treaty for the Proscription of Nuclear
 Weapons in Latin America of 1967 (Treaty of Tlatelolco). []   (e) The Government of the Republic of Puerto Rico shall, as
 soon as may be practicable, seek integration into the Inter-American defense
 system by subscribing the provisions of the Treaty of Mutual Defense of 1948
 (Treaty of Rio de Janeiro). [] SEC. 5.3. TRADE RELATIONS. []   (a) Until proclamation of independence: (1) no trade barriers
 or quotas of any kind shall be imposed on merchandise and articles going
 into Puerto Rico from the United States or coming into the United States
 from Puerto Rico; and (2) trade relations shall be as currently provided
 by law. []   (b) during the twenty years following the proclamation of
 independence, the United States shall not impose trade barriers or quotas
 of any kind on merchandise and articles coming into the United States from
 the Republic of Puerto Rico. [] SEC. 5.4. TAXATION. []   (a) The tax credit currently allowed under section 936 of
 the United States Internal Revenue Code shall remain in full effect upon
 proclamation of independence and during the fifteen years thereafter with
 respect to income derived by corporations that begin to fulfill or continue
 to fulfill the current requirements for such credit. []   (b) On the tenth year after proclamation of independence,
 a Joint Commission on Taxation shall be appointed in equal numbers by the
 President of the United States and the head of state of the Republic of
 Puerto Rico to study and report on changes to be made, if any, to the tax
 credit allowed under subsection (a) at the expiration of the fifteen-year
 period. If no agreement is reached with respect to such changes, then all
 earning repatriations received by residents of the United States shall be
 subject to taxation by the United States, beginning on the sixteenth year
 after the proclamation of independence, at a rate that shall increase on
 a straight-line basis by 10 percent of the regular United States corporate
 tax rate each year until it reaches 100 percent of said regular rate in the
 twenty-fifth year after the proclamation of independence, provided that a tax
 credit will be allowed on such earning repatriations pursuant to subsection
 (e). If the regular corporate tax rate of the United States is changed
 before said twenty-fifth year, the difference between the rate to which the
 earning repatriations are subject during the year of said change and the new
 regular rate shall be divided, if the latter is higher, by the number of
 years remaining from the year which follows the year of said change until
 said twenty-fifth year, and the result of such division shall constitute
 the extent to which the rate applicable to the dividends shall increase
 every year from the year which follows the year of said change until said
 twenty-fifth year. If the new regular United States corporate tax rate is
 lower than the rate to which the earning repatriations are subject during
 the year of said change, then the new lower rate shall immediately apply
 to such repatriations. No other change shall occur before the expiration of
 said twenty-fifth year with respect to income derived by companies subject
 to this subsection. []   (c) With respect to income not subject to subsections
 (a) or (b), the profits of an enterprise of either nation shall be taxable
 only on the nation of residence of said enterprise, unless the enterprise
 carrier on business in the other nation through a permanent establishment
 situated therein. If the enterprise carriers on business as aforesaid, the
 profits of the enterprise may be taxed in the other nation but only so much
 of them as is attributable to that permanent establishment. []   (d) Each nation shall have taxing jurisdiction over
 income earned by individuals who are residents of either nation from
 sources within its territorial jurisdiction, property situated therein,
 including transfers of such property by gift or at death, and products
 consumed therein. []   (e) Where a resident of either nation derives income from the
 other nation, the amount of tax payable in that other nation in respect to
 that income pursuant subsections (c) and (d), and the amount of tax payable
 in the Republic of Puerto Rico that does not exceed for any specific year
 the amount of tax payable in the United States for that same year pursuant
 to subsection (b), shall be allowed as a credit against the tax payable
 in respect to that income in the nation of residence of the taxpayer. A
 withholding tax on dividends shall be considered a tax on income for these
 purposes. If the United States amend its laws concerning the provision of
 tax sparing credits or if the United States reaches an agreement on the
 provision of a tax sparing credit with any other nation, Puerto Rico shall
 ipso facto be granted the most favorable degree of tax sparing credit allowed
 under such amended laws or under such agreement or agreements. []   (f) The determination under this section of the residence
 of any taxpayer, the source of any income, the situs of any property or any
 other necessary definitions shall be made according to the terms of a joint
 treaty for the avoidance of double taxation to be entered into by both nations
 promptly upon the proclamation of the Republic of Puerto Rico. Negotiations
 leading to such treaty shall be initiated by a special task force designated
 pursuant to section 2.5 of this title. Until such treaty is executed, such
 determination shall be made according to the current tax laws of the United
 States and the Commonwealth of Puerto Rico. [] SEC. 5.5 CURRENCY AND FINANCE. []   (a) After proclamation of independence, the Republic of
 Puerto Rico shall have all powers concerning the issuance and control of
 currency and all powers concerning monetary and financial matters, provided
 that during the ten years following the proclamation of independence both
 United States currency and Puerto Rican currency shall be accepted as legal
 tender in all transactions in Puerto Rico. []   (b) The current value of all stock bought by Puerto Rican
 banks in the Federal Reserve System, Federal Deposit Insurance Corporation
 and the Federal Home Loan Bank System will be transferred to the Republic
 of Puerto Rico, including the proportion held by United States national,
 Spanish and Canadian banks that correspond to the level of their activities
 of its branches operating in Puerto Rico during the year immediately prior
 to the proclamation of independence. []   (c) The monetary authority of the Republic of Puerto Rico
 shall establish an integrated system of insurance for deposits in Puerto
 Rico's financial institutions similar to the Federal Deposit Insurance
 Corporation. Negotiations will be undertaken with United States monetary
 authorities to obtain their assistance in the design and establishment of
 the insurance system, and to determine the extent of financial support to
 be provided for the system by United States insurance organizations in which
 Puerto Rico's financial institutions currently participate. []   (d)(1) The guarantees provided by the Government of the
 United States to investors in the secondary market for loans, particularly
 mortgage loans guaranteed by the Government National Mortgage Association
 (G.N.M.A.), the Federal National Mortgage Association (F.N.M.A.), the
 Federal Home Loan Mortgage Corporation (F.H.L.M.) and other United States
 Government instrumentalities, shall be maintained for Puerto Rico-originated
 loans until maturity. []   (2) Negotiations shall be carried out to ensure that after
 proclamation of independence Puerto Rico-originated loans, particularly
 housing mortage loans, can continue to be guaranteed by G.N.M.A., F.N.M.A.,
 F.H.L.M. and other United States Government instrumentalities and can continue
 to be sold to investors in the United States secondary markets. [] SEC. 5.6. PUBLIC DEBT. []   (a) The debts, liabilities, and obligations of the
 Commonwealth of Puerto Rico, its municipalities and instrumentalities,
 valid and outstanding upon proclamation of independence, shall be assumed
 by the Republic of Puerto Rico. []   (b) After proclamation of independence the United States
 shall maintain full income tax exemption, as currently provided by law,
 on interest payments derived from debts of the Commonwealth of Puerto Rico
 assumed by the Republic, as specified in subsection (a). []   (c) During the twenty-five years following the proclamation
 of independence, the United States shall extend full income tax exemption,
 as currently provided by law, to interest payments derived from debts of
 the Republic of Puerto Rico. [] SEC. 5.7. INDIVIDUAL RIGHTS TO ECONOMIC BENEFITS AND GRANTS
 TO THE REPUBLIC OF PUERTO RICO. []   (a) All vested rights and benefits which accrue to residents
 of the Commonwealth of Puerto Rico under the laws of the United States from
 past services or contributions, such as rights and benefits for veterans
 or relatives of veterans of the Armed Forces of the United States, retired
 Government employees, or beneficiaries of old age, disability of survivors'
 insurance benefits under the Social Security Act, shall not be interrupted
 after the proclamation of independence but will continue until such time
 as said rights and benefits are completely extinguished according to the
 applicable laws of the United States. All services which must be rendered
 as part of these rights and benefits shall be made available through the
 Government of the Republic of Puerto Rico in accordance with agreements
 reached by the two nations. []   (b) Notwithstanding the provisions in subsection (a),
 all contributions made by employees and employers in Puerto Rico to the
 Social Security System with respect to persons who, upon the proclamation
 of independence, are residents of the Republic of Puerto Rico and are not
 yet eligible for old age, disability, or survivors' insurance benefits
 under the system, shall be transferred to the Government of the Republic
 of Puerto Rico once said Government establishes its own social security
 system. The Government of the Republic of Puerto Rico may not use these
 funds for any purpose other than the establishment and operation of a social
 security system. Upon the transfer described herein, the obligations of the
 United States Government under the Social Security Act with respect to such
 residents of the Republic of Puerto Rico shall cease. []   (c) All other Federal transfer payments to individuals and
 to the Government of the Commonwealth of Puerto Rico shall be maintained in
 the form of annual block grants to be used discretionally by the Government
 of the Republic of Puerto Rico-- []   (1) During the ten fiscal years following the proclamation
 of independence, the annual block grants shall amount to the annual aggregate
 funding of all programs which currently extend to the Commonwealth of Puerto
 Rico, or of all programs which shall have been extended to the Commonwealth
 of Puerto Rico during the fiscal year immediately prior to the proclamation
 of independence, whichever shall be greater. []   (2) The annual block grants shall decrease thereafter on a
 straight-line basis, at the rate of ten percent each year, beginning on the
 eleventh fiscal year after the proclamation of independence. At any time
 during the aforementioned transition period the terms of this subsection
 may be modified by agreement between the United States and the Republic of
 Puerto Rico. [] Subtitle 6--Relations Between the United States and the
 Republic of Puerto Rico [] SEC. 6.1. TREATY OF FRIENDSHIP AND COOPERATION. []   To insure that all provisions of this title which shall have
 effect after the proclamation of independence will in effect be binding, the
 United States and the Republic of Puerto Rico shall embody said provisions
 in a treaty of friendship and cooperation. [] TITLE IV--COMMONWEALTH [] SUBPART 1. STATEMENT OF PURPOSES []   In 1952 the Congress of the United States, fully recognizing
 the principle of government by consent, and the People of Puerto Rico, in
 the exercise of their right to self-determination, entered upon a compact
 which established a Commonwealth relationship between Puerto Rico and the
 United States. []   Under the compact the People of Puerto Rico adopted in
 their own sovereign right their own Constitution and formed an autonomous
 political community in permanent union with the United States of America
 based on the irreversible bond of American citizenship. []   In 1953 the General Assembly of the United Nations recognized
 the creation of the Commonwealth and removed Puerto Rico from the list of
 non-self-governing territories. This association has enabled the People of
 Puerto Rico to advance their economic and social development and to preserve
 their distinct historical heritage and cultural personality. []   As inherent in all political relationships freely entered
 upon, it was based on the understanding that it would evole and develop within
 its particular political nature upon mutually agreeable terms. []   It is the purpose of this Act to provide for the enhancement
 of the Commonwealth relationship by enlarging the scope of self-government
 of the Puerto Rican people upon the approval of a proposition to that
 effect by a majority of the eligible voters of the Commonwealth of Puerto
 Rico. [] SUBPART 2. REFERENDUM PROPOSITION: COMMONWEALTH []   The referendum proposition regarding Commonwealth, to
 be presented to, and voted upon, by the People of Puerto Rico shall be as
 follows: []   `The Commonwealth association with the United States shall
 be enhanced to enable the People of Puerto Rico to accelerate their economic
 and social development and attain maximum cultural and political autonomy
 within permanent union with the United States based on the irreversible
 bond of American citizenship, a common defense, a common market, and a
 common currency.' []   The proposition will appear in the ballot, in Spanish,
 as follows: []   `El Estado Libre Asociado se fortalecera para acelerar
 el desarrollo econmico y social y alcanzar la maxima autonomia cultural y
 politica del pueblo de Puerto Rico en su union permanente con los Estados
 Unidos sobre los pilares de comun defensa, comun mercado, comun moneda,
 y el vinculo indisoluble de la ciudadania americana.' [] SUBPART 3. PRINCIPLES OF COMMONWEALTH []   Section 1 of the Puerto Rico Federal Relations Act,
 39 Stat. 954, as amended, 48 U.S.C. section 731, shall be repealed, and
 replaced by the following: []   `(1) The provisions of this Act shall apply to the
 Commonwealth of Puerto Rico, an autonomous body politic joined in permanent
 union with the United States on the basis of common citizenship, common
 defense, common market and common currency. []   (2) The policy of the United States shall be to enhance the
 Commonwealth relationship enjoyed by the Commonwealth of Puerto Rico and
 the United States to enable the People of Puerto Rico to accelerate their
 economic and social development and attain maximum cultural and political
 autonomy within permanent union with the United States, to secure more
 equitable participation for the People of the Commonwealth of Puerto Rico
 in all Federal programs that provide grants or services to citizens of the
 United States as individuals, to secure increased participation by the
 People of Puerto Rico in United States governmental decisions affecting
 them, to safeguard the distinct cultural identity of the People of Puerto
 Rico, and to protect the bilateral nature of the relationship between the
 Commonwealth of Puerto Rico and the United States. [] SUBPART 4. IMPLEMENTATION OF FEDERAL POLICY []   Section 9 of the Federal Relations Act, 39 Stat. 954, as
 amended, 48 U.S.C. section 734, is amended by inserting at the beginning
 thereof the term `(a)' and by adding at the end thereof the following:
 []   `(b) A Federal statutory law, or provision of such law,
 is locally inapplicable unless it is consistent with the policy established
 under subpart 3 and unless such Federal statutory law has proper regard
 for the economic, cultural, ecological, geographic, demographic and other
 local conditions of the Commonwealth of Puerto Rico. This subsection shall
 not apply to: []   (i) any Federal statutory law in which the Congress makes
 a specific finding that there is an overriding national interest that such
 law should apply to the Commonwealth of Puerto Rico, or []   (ii) any Federal satutory law, or provision thereof,
 establishing directly or indirectly grants and/or services to civilizen of
 the United States as individuals, or []   (iii) any Federal statutory law or provision thereof
 relating to citizenship, or []   (iv) any Federal statutory law or provision thereof
 pertaining to the foreign relations, defense or national security of the
 United States that requires uniform applicability throughout the United
 States, including the Commonwealth of Puerto Rico, to achieve its intended
 purposes. []   (c) In addition to judicial determinations of the
 inapplicability of Federal laws under subsection (b), the Governor of the
 Commonwealth of Puerto Rico may certify from time to time to the Speaker
 of the House of Representatives, the President of the Senate, and the
 President of the United States, that a Federal statutory law or provision
 thereof, other than one excluded from the operation of subsection (b), is
 inconsistent with a Puerto Rican statute and the policy established under
 subsection (b). Unless within sixty days of the receipt of such certification,
 a statute is enacted embodying the finding required under subsection (b)(i),
 the President shall issue a proclamation that such Federal statutory law
 or provision thereof identified in the Governor's certification is not
 applicable in Puerto Rico. []   (d)(i) The Commonwealth of Puerto Rico may continue to
 enter in its own name into international cultural, commercial, educational
 and sports agreements, and other agreements of like nature. []   (ii) In addition, the Governor of the Commonwealth of Puerto
 Rico may take any official action to promote the international interests of
 Puerto Rico that requires the consent of the United States Government and is
 not expressly prohibited by law. The Governor of the Commonwealth of Puerto
 Rico shall provide written notice to the President of the United States of
 any official action he contemplates taking pursuant to the authorization of
 this part of this subsection and not pursuant to any other authorization
 of consent. The President may, within thirty days of his receipt of such
 notice, sign and transmit to the Governor of the Commonwealth of Puerto
 Rico a document expressing his determination that the contemplated official
 action would imperil the foreign relations or national defense of the United
 States, in which case the authorization hereby granted shall be withdrawn
 as regards such contemplated official action. []   (e) All departments and agencies of the Government
 of the United States shall be guided by the policy stated in subpart 3
 when carrying out their duties under Federal statutory laws and Federal
 regulations applicable in or affecting the Commonwealth of Puerto Rico. Every
 such department or agency shall, before taking any major Federal action
 applicable in or affecting the Commonwealth of Puerto Rico, separately
 evaluate the consistency of such action with such policy and shall state,
 in a document accompanying the major Federal action, the extent, nature,
 and result of its consideration. []   (f) Any rule, as defined in 5 U.S.C. section 551(4),
 issued by an agency, as defined in 5 U.S.C. section 551(1), shall apply in
 the Commonwealth of Puerto Rico only to the extent that it is consistent
 with the policy set forth in subsection (b). After the effective date of
 this amendment, when any such rule, other than a rule issued after notice
 and hearing required by statute, that does not in terms provide that it is
 inapplicable in the Commonwealth of Puerto Rico is published in the Federal
 Register, the Governor of the Commonwealth of Puerto Rico may submit to the
 agency within thirty days in writing (or such longer period as the agency
 may have prescribed as the period between publication of the rule and its
 effectiveness) the Governor's determination that such rule is inconsistent
 with the policy stated in subsection (b). Thereupon, the agency shall
 reconsider the question of consistency of the rule with the policy stated
 in subsection (b) and shall, within forty-five days of its receipt of the
 Governor's determination, publish in the Federal Register its finding either
 that there is an overriding national interest that the rule be applicable
 in the Commonwealth of Puerto Rico, in which case the rule, whether or not
 previously applicable in the Commonwealth of Puerto Rico, shall thereafter
 be so applicable, or that the rule is not compatible with such policy,
 in which event such rule, whether or not previously applicable in the
 Commonwealth of Puerto Rico, shall not be so applicable. Unless the agency
 for good cause finds that a rule that is the subject of such determination
 by the Governor of Puerto Rico as is described in this subsection shall be
 applicable to the Commonwealth of Puerto Rico pending its consideration of
 such determination, and publishes such finding in the Federal Register,
 such rule, whether or not previously applicable in the Commonwealth of
 Puerto Rico, shall not be so applicable pending such consideration. An
 agency's decision to make a rule applicable or inapplicable in Puerto Rico
 shall be subect to judicial review. []   (g) The laws, rules and regulations of the United States
 applicable in the Commonwealth of Puerto Rico when the new Federal policy
 is established in accordance with subpart 3 shall continue in effect except
 to the extent repealed or modified by this Act, or inconsistent with it,
 and except as hereafter modified, suspended or repealed in accordance with
 law. [] SUBPART 5. AVIATION []   Section 1102 of the Federal Aviation Act is amended by
 adding a new section (e) to read as follows: []   `(e)(i) The Government of the Commonwealth of Puerto
 Rico shall have authority to negotiate on its own behalf bilateral air
 transportation agreements governing the operation of air services by
 United States and foreign air carriers between the Commonwealth and foreign
 points. Such agreements may also include authorization of service by United
 States and foreign air carriers to use any point in the Commonwealth as an
 intermediate or beyond point on routes between points in the United States
 and foreign nations for which the carrier holds certificate or foreign air
 carrier operating authority from the Department of Transportation. Such
 agreements may authorize such carriers to engage in common carriage of
 persons and property between such authorized points in the United States
 and the Commonwealth, notwithstanding the provisions of sections 416(6)(7)
 and 1108 of this Act. []   `(ii) Operating rights contained in Commonwealth
 bilateral air transportation agreements shall be subject to the grant
 of necessary operating authority by the Department of Transportation
 and the Administrator. The responsibilities of the Department and the
 Administrator under subsection (a) of this section shall extend to such
 bilateral agreements. []   `(iii) Operating authority issued by the Department of
 Transportation in implementation of bilateral agreements negotiated by
 the Government of the Commonwealth of Puerto Rico shall be subject to the
 President's right of disapproval as contained in section 801(a) of this
 Act. []   `(iv) The officials of the Federal Aviation Administration of
 the United States are directed to assist and cooperate with the appropriate
 officials of the Commonwealth of Puerto Rico in the implementation of any
 air transportation agreement entered into pursuant to the authority herein
 established.'. [] SUBPART 6. DEVELOPMENT OF TOURISM []   Section 4a(l) of the Coastal Barrier Resources Act of
 1982, 16 U.S.C. section 3503(a)(l), is amended by adding to the end of the
 subsection: `Notwithstanding the foregoing, no area within the Commonwealth
 of Puerto Rico shall be included within the Coastal Barrier Resources
 System.'. [] SUBPART 7. INTERNATIONAL TRADE []   (a) Section 2 of the Act of April 12, 1900, 48 U.S.C. 739,
 is amended by inserting the following subsection. []   `1. To the extent consistent with the international
 obligations of the United States, the Commonwealth of Puerto Rico is
 authorized to impose tariff duties on foreign origin products imported into
 Puerto Rico. Such tariff duties shall be in addition to the general tariff
 duties applicable to products imported into the customs territory of the
 United States.'. []   (b) Section 1102 of the Omnibus Trade and Competitiveness
 Act of 1988, 19 U.S.C. 2902, is amended by adding a new subsection (e)
 as follows: []   `(e) During the negotiation of any trade agreement affecting
 Puerto Rico under subsections (a), (b), and (c), the President shall seek
 the participation of the Commonwealth of Puerto Rico in the negotiation
 process, and shall consult with the Governor of the Commonwealth of Puerto
 Rico concerning the potential impact of any proposed tariff rate change on
 the economy of Puerto Rico. []   The Government of the United States shall seek to obtain
 favorable treatment from foreign countries for exports from the Commonwealth
 of Puerto Rico and shall encourage other countries to consider Puerto Rico as
 a developing area for purposes of their respective General Systems of Trade
 Preferences, and any such regional systems of trade preferences.'. [] SUBPART 8. MARITIME []   (a) Section 9 of the Puerto Rican Federal Relations Act,
 48 U.S.C. section 744, is amended to add at the end of the provision:
 `except that those provisions of the Shipping Act, 1916, administered
 by the Federal Maritime Commission shall not be applicable to the trade
 between Puerto Rico and the States of the United States. The Commonwealth
 of Puerto Rico is authorized to establish its own maritime commission which,
 when established in accordance with Puerto Rico law shall exercise exclusive
 jurisdiction over service, rates, fares, and practices governing the trade
 between Puerto Rico and the states of the United States.' []   (b) Section 1 of the Shipping Act, 1916, as amended, 46
 U.S.C. App. section 801, is amended by inserting after the second `possession
 of the United States' and at the end of the provision, the following phrase:
 `not including the Commonwealth of Puerto Rico.'. [] SUBPART 9. JURISDICTION OVER MARITIME RESOURCES []   (a) Amend section 3(21) of the Magnuson Fishery Conservation
 and Management Act, as amended, 16 U.S.C. 1802(21) to read as follows:
 []   `(21) The term `State' means each of the several States,
 the District of Columbia, American Samoa, the Virgin Islands, Guam, and any
 other territory or possession of the United States, but does not include
 the commonwealth of Puerto Rico.'. []   (b) Amend the first sentence of section 2(6) of the Magnuson
 Fishery Conservation and Management Act, as amended, 16 U.S.C. 1802(6)
 to read as follows: `The term `exclusive economic zone' means the zone
 established by Proclamation Numbered 5030, dated March 10, 1983, except
 that such zone shall not include zones contiguous to the territorial sea of
 the Commonwealth of Puerto Rico, provided that the Commonwealth of Puerto
 Rico shall take no action that would purport to restrict or charge fees
 to vessels of the United States for the right to fish for highly migratory
 species of fish within any fishing jurisdiction the `Commonwealth of Puerto
 Rico may establish beyond its territorial waters.'. [] SUBPART 10. INTELLECTUAL PROPERTY []   (a) Section 101 of title 17 of the United States Code is
 amended as follows: []   (1) By inserting the following new definitions in
 alphabetical order: []   `The `design of a useful article,' hereinafter referred
 to in this Title as a `design,' consists of those aspects or elements of
 the article, including its two dimensional or three dimensional features of
 shape and surface, which make up the appearance of the article, and shall
 include a `typeface' as herein defined. []   `A design is `of Puerto Rican origin' (a) if more than 50
 percent of its development costs have been incurred within the Commonwealth
 of Puerto Rico, irrespective of whether such design is fixed in a useful
 article in the Commonwealth of Puerto Rico; or (B) if it is first fixed
 in the Commonwealth of Puerto Rico in a useful article intended to be
 distributed to the public for commercial purposes. []   `A `typeface' consists of a set of letters, numbers,
 or other symbolic characters, whose forms are related by repeating design
 elements consistently applied in a national system, to the extent that the
 repeating design elements in the combination employed in a notational system
 are (A) original, (B) distinct, and (C) incorporated in a useful article
 whose normal use is in composing text or other cognizable combination of
 characters.'. []   (2) By adding, after the semicolon in the second sentence of
 the definition of `Pictorial, graphic, and sculptural works,' the following:
 `except where a design of Puerto Rican origin is involved,'. []   (b) Section 102 of title 17 of the United States Code is
 amended by adding a new subsection 102 (a)(8) as follows: []   `(8) designs of useful articles, where such designs are
 of Puerto Rican origin.'. []   (c) Section 113 of title 17 of the United States Code is
 amended by adding a new subsection (d) as follows: []   `(d) In the case of a design of Puerto Rican origin,
 the scope of exclusive rights in a copyrighted work does not extend to a
 design that is (i) staple or commonplace, such as a standard geometric
 figure, familiar symbol, emblem, or motif, or other shape, pattern,
 or configuration which has become common, prevalent, or ordinary; (ii)
 different from a design excluded by (i) hereof only in insignificant details
 or in elements which are variants commonly used in the relevant trades; (iii)
 dictated primarily by a utilitarian function of the article in which it is
 fixed, (iv) composed of three-dimensional features of shape and surface
 with respect to men's, women's, and children's apparel; or (v) fixed in
 a semiconductor chip product that is protected under chapter 9 of this
 title. Notwithstanding the foregoing, the scope of exclusive rights shall
 not be limited by the employment in the design of subject matter excluded
 under (i) through (iii) hereof, if the design is a substantial revision,
 adaptation, or rearrangement of said subject matter: Provided, however,
 That such exclusive rights shall be available for a design employing subject
 matter protected under chapters 1 through 8 of this title or title 35 of the
 United States Code, only if such protected subject matter is employed with
 the consent of the proprietor thereof. Such protection shall be independent
 of any subsisting protection in subject matter employed in the design, and
 shall not be construed as securing any rights to subject matter excluded
 from protection or as extending any subsisting protection.' []   (d) Chapter 3 of title 17 of the United States Code is
 amended by the addition of a new section 306 as follows: [] `Sec. 306. Designs of Puerto Rican origin []   (a) The provisions of section 302 through 305 of this chapter
 shall not apply to copyrights in designs of Puerto Rican origin. []   (b) Copyright in a design of Puerto Rican origin subsists
 from its creation and endures for a period of ten years. []   (c) A term of copyright provided by this section shall run to
 the end of the calendar year in which in would otherwise expire.'. []   (e) Section 407 of title 17 of the United States Code is
 amended by adding the following language before the semicolon in section
 401(b)(1): `, or, in the case of a design of Puerto Rican origin, the
 symbol D (the letter D in a circle), or the words `Design Copyright,'
 or the abbreviation `Des. Copr.'.'. []   (f) Section 407 of title 17 of the United States Code
 is amended by striking the period the end of section 407 (c) and adding
 the following language: `, or the work is a design of Puerto Rican
 origin.'. []   (g) Section 901 (a) of title 17 of the United States Code
 is amended by adding a new subsection (10) as follows: []   `(10) a mask work is `of Puerto Rican origin' (a) if
 more than 50 percent of its development costs have been incurred within
 the Commonwealth of Puerto Rico, irrespective of whether such mask work is
 fixed in a computer chip in the Commonwealth of Puerto Rico; or (B) if it is
 first fixed in the Commonwealth of Puerto Rico in a computer chip intended
 to be distributed to the public for commercial purposes.'. []   (h) Section 906 of title 17 of the United States Code is
 amended by adding at the end thereof the following: []   `(c) The limitations on exclusive rights provided under
 subsections (a) and (b) of this section shall not apply to mask works of
 Puerto Rican origin.'. []   (i) The foregoing sections (a) through (h) shall apply
 after the date of enactment to all acts of manufacture or distribution that
 occur in the United States after such date, to all acts of importation into
 the United States that occur after such date, and to all violations of the
 exclusive rights of the copyright's owner under of title 17, United States
 Code that occur after such date. [] SUBPART 11. FEDERAL PROGRAMS []   (a) CONSOLIDATION OF GRANT-IN-AID PROGRAMS- The Puerto Rico
 Federal Relations Act is amended by inserting a new section 59, as follows:
 [] SECTION 59. []   In order to minimize the burden caused by existing
 application and reporting procedures for grant-in-aid programs available to
 the Commonwealth of Puerto Rico it is hereby declared to be the policy of
 the Congress, notwithstanding any provision of law to the contrary, that:
 []   `(a) At the request of the Governor of the Commonwealth,
 any department or agency of the Government of the United States which
 administers any Act of Congress which specifically provides for making
 grants to the Commonwealth under which payments received may be used by
 the Commonwealth only for certain specified purposes (other than direct
 payments to classes of individuals, including, but not limited to, Aid
 to Families with Dependent Children, title IV-A of the Social Security
 Act, 42 U.S.C. 601; Medicaid, title XIX of the Social Security Act, 42
 U.S.C. 2396; Supplemental Security Income, title XVI of the Social Security
 Act, 42 U.S.C. 1381; Foster Care, title IV-E of the Social Security Act,
 42 U.S.C. 670; and Nutrition Assistance Program, 7 U.S.C. 2028) shall,
 acting through appropriate administrative authorities of such department
 of agency, consolidate any or all grants made to the Commonwealth for any
 fiscal year or years. []   `(b) Any consolidated grant for the Commonwealth shall not
 be less than the sum of all grants which the Commonwealth would otherwise
 be entitled to receive for such year. []   `(c) The funds received under a consolidated grant shall
 be expended in furtherance of the programs and purposes authorized for
 any of the grants which are being consolidated, which are authorized under
 any of the Acts administered by the department or agency making the grant,
 and which would be applicable to grants for such programs and purposes in
 the absence of the consolidation, but the Commonwealth shall determine the
 proportion of the funds granted which shall be allocated to such programs
 and purposes. []   `(d) Each department or agency making grants-in-aid shall,
 by regulations published in the Federal Register, provide the method by which
 the Commonwealth may submit: (i) a single application for a consolidated
 grant for any fiscal year period, but not more than one such application for
 a consolidated grant shall be required by any department or agency unless
 notice of such requirement is transmitted to the appropriate committees
 of the United States Congress to-gether with a complete explanation of the
 necessity for requiring such additional applications, and (ii) a single report
 to such department or agency with respect to each such consolidated grant:
 Provided, That nothing in this paragraph shall preclude such department
 or agency from providing adequate procedures for accounting, auditing,
 evaluating, and reviewing any programs or activities receiving benefits
 from any consolidated grant. The administering authority of any department
 or agency, in its discretion, may (i) waive any requirement for matching
 funds otherwise required by law to be provided by the Commonwealth and (ii)
 waive the requirement that the Commonwealth submit an application or report
 in writing with respect to any consolidated grant. []   (b) EQUITABLE TREATMENT IN SOCIAL PROGRAMS- The Puerto Rican
 Federal Relations Act is amended by inserting a new section 60 as follows:
 [] `SECTION 60. []   `(a) It is the policy of the United States that the
 allocations to the Commonwealth of Puerto Rico of the following programs
 shall achieve full parity with the States of the Union as soon as possible
 but in no event later than the fifth anniversary of the date of enactment
 hereof with allocations to States of the Union in the following programs or
 their successor thereof: Nutrition Assistance Program (NAP); Aid to Families
 with Dependent Children (AFDC); and Medicaid; and in no event later than
 the ninth anniversary of the date of enactment hereof with allocations to
 States of the Union for the Supplemental Security Income (SSI) program,
 or its successor.'. [] SUBPART 12. PROTECTION OF WORKERS []   (a) Amend section 3 of the Labor Management Act, as amended,
 (29 U.S.C. 153(b)), by adding after the first sentence: `; with the exception
 of cases arising under the jurisdiction of the Commonwealth of Puerto Rico
 which are hereby exclusively delegated to the Labor Relations Board of Puerto
 Rico. Decisions of the Labor Relations Board of Puerto Rico may be appealed
 to the Federal Court of Appeals for the First Circuit.'. []   (b) The Puerto Rican Federal Relations Act is amended by
 adding a new section 61, as follows: []   `Puerto Rico shall maintain exclusive jurisdiction over
 employee benefits, other than the benefits currently covered under the Fair
 Labor Standards Act, the Employee Retirement Income Security Act, and the
 Occupational Safety and Health Act. Puerto Rico's exclusive jurisdiction
 shall include, but not be limited to Christmas bonuses, sick and vacation
 pay, worksman's compensation, and any other benefits not covered under the
 current aforementioned Federal legislation.'. [] SUBPART 13. PUERTO RICO PARTICIPATION IN FEDERAL APPOINTMENTS
 []   Section 301 of title 3, is amended by inserting at the
 beginning thereof the term `(a)' and by adding at the end thereof the
 following: []   `(b) The highest ranking Federal officer serving in the
 Commonwealth of Puerto Rico for any Federal department and agency, or
 division thereof, and any other appointment in the Commonwealth of Puerto
 Rico subject to Senate confirmation, shall be appointed by the President
 from a list of eligible candidates recommended by the Governor of the
 Commonwealth of Puerto Rico.'. [] SUBPART 14. REPRESENTATION IN UNITED STATES SENATE []   Section 36 of the Puerto Rican Federal Relations Act,
 48 U.S.C. section 891-895, is amended as follows: [] `SUBCHAPTER V. RESIDENT COMMISSIONERS [] SECTION 891. RESIDENT COMMISSIONERS; ELECTION. []   `The qualified electors of Puerto Rico shall choose a
 Resident Commissioner to the United States Senate and a Resident Commissioner
 to the United States House of Representatives at each general election, whose
 terms of office shall be four years from the 3rd of January following such
 general election, and who shall be entitled to receive official recognition
 as such commissioner by all of the departments of the Government of the
 United States, upon presentation, through the Department of States, of a
 certificate of election of the Governor of Puerto Rico. [] `SECTION 892. QUALIFICATIONS OF COMMISSIONERS; APPOINTMENT
 TO FILL VACANCY. []   `No person shall be eligible to election as a Resident
 Commissioner who is not a bona fide citizen of the United States and who
 is not more than twenty-five years of age, and who does not read and write
 the English language. In case of a vacancy in either office of Resident
 Commissioner by death, resignation, or otherwise, the Governor by and
 with the advice and consent of the Senate of the Commonwealth of Puerto
 Rico shall appoint a Resident Commissioner to fill the vacancy, who shall
 serve until the next general election and until his successor is elected
 and qualified. [] `SECTION 893. SALARY OF COMMISSIONERS; ALLOWANCES, FRANKING
 PRIVILEGE. []   `The Resident Commissioners shall receive a salary payable
 monthly by the United States. The Resident Commissioners shall be allowed
 the same sum for stationary and for the pay of necessary clerk hire as is
 allowed Members of the Senate of the United States and Members of the House
 of Representatives of the United States. The Resident Commissioners shall
 be allowed the franking privilege granted Members of Congress. [] `SECTION 894. SALARY AND TRAVELING EXPENSES; PAYMENT. []   `The salary and traveling expenses of the Resident
 Commissioners from Puerto Rico to the United States shall be paid in the
 same manner as the salaries of the Members of the Senate and the House of
 Representatives are paid. [] `SECTION 895. OTHER PRIVILEGES. []   `The appropriate sections of title 2 of the United
 States Codes and any other statutory law that relates to the privileges
 afforded United States Senators shall be amended to include the Resident
 Commissioner from the Commonwealth of Puerto Rico to the United States
 Senate.'. [] SUBPART 15. JUDICIARY []   Section 42 of the Puerto Rico Federal Relations Act, 48
 U.S.C. section 864, is amended by deleting the last sentence and inserting
 the following paragraph: []   `Notwithstanding any other provision of law: []   `(1) The District Court shall not undertake to construe
 a theretofore unconstrued Puerto Rico statute or regulation or decide a
 theretofore undecided point of substantive Puerto Rico nonstatutory law
 without having given the Supreme Court of Puerto Rico the opportunity to
 construe such statute or regulation or to rule upon such point of Puerto
 Rico law. []   `(2) The proceedings of the United States District Court
 for the District of Puerto Rico shall be conducted in the Spanish language
 upon the request of any party to the proceedings. []   `(3) Any issue of law arising under the Puerto Rico Federal
 Relations Act in any action or controversy brought in federal court shall
 be certified to the District of Columbia Court of Appeals. In addition, the
 Commonwealth of Puerto Rico, its departments, agencies and instrumentalities,
 as well as officials and agents, in both their official and personal capacity,
 may transfer any action brought against them in the District Court for Puerto
 Rico to the District Court for the District of Columbia.'. [] SUBPART 16. PASSPORTS []   (a) Section 211a of title 22, is amended by adding after
 the provision `by the chief or other executive officer of the insular
 possessions of the United States,'; `and the Governor of the Commonwealth
 of Puerto Rico,'. []   (b) The following new section shall be added to title 22
 as section 211b: [] `SECTION 211b. UNITED STATES PASSPORT OFFICE IN PUERTO
 RICO. []   `The Secretary of State shall establish a Passport Office
 for the Caribbean located in San Juan, Puerto Rico and shall authorize
 the Governor of the commonwealth to administer such office as required by
 law.'. []   (c) Section 212 of the Immigration and Nationality Act,
 8 U.S.C. section 1182 is amended by adding a new subsection (m) as follows:
 []   `(m) Commonwealth of Puerto Rico; Waiver of Requirements;
 Nonimmigrant Visitors-  []   `(1) The requirement of paragraph 26(B) of subsection (a)--of
 this section shall be waived by the Attorney General upon the request of
 the Government of the Commonwealth of Puerto Rico, in the case of an alien
 applying for admission as a nonimmigrant visitor at the invitation of the
 Government of the Commonwealth and solely for entry into and stay in the
 Commonwealth of Puerto Rico for a period not to exceed thirty days. The
 District Office for Puerto Rico of the Immigration and Nationality Service
 shall issue the special temporary entry visit visas, as well as other entry
 visas. []   `(2) If adequate appropriated funds to carry out this
 subsection are not otherwise available, the Director of the Immigration
 and Nationality Service is authorized to accept from the Government of
 the Commonwealth of Puerto Rico such funds as may be tendered to cover
 all or any part of the costs of administration and enforcement of this
 subsection.'. [] SUBPART 17. LAW ENFORCEMENT []   Section 287 of the Immigration and Nationality Act,
 8 U.S.C. section 1357, is amended as follows: []   `(a) Any officer or employee of the Service authorized
 under regulations proscribed by the Attorney General, and any officer or
 employee of and within the Commonwealth of Puerto Rico authorized by the
 Governor of the Commonwealth of Puerto Rico shall have the power without
 warrant.'. [] SUBPART 18. HISTORIC SITES AND CONSERVATION LANDS []   Section 8 of the Puerto Rico Federal Relations Act, 48
 U.S.C. section 749 is amended by redsignating it section 8A and enacting
 a new Section 8B: [] `SECTION 8b. []   `(a)(i) Lands. Title to all lands, buildings, and interests
 in lands, and other property now owned by the United States and within the
 territorial limits of the Commonwealth of Puerto Rico, and the harbor areas
 and navigable streams and bodies of water and submerged lands underlying the
 same in and around the island of Puerto Rico and the adjacent islands and
 waters, owned by the United States, which may have been acquired in Puerto
 Rico by the United States under the cession of Spain in the treaty of peace
 entered into on December 10, 1898, and the lands owned by the United States,
 and administered under the Caribbean National Forest, is hereby conveyed to
 the people of Puerto Rico and placed under the control of the Government
 of the Commonwealth of Puerto Rico; Provided, That the United States and
 the Commonwealth of Puerto Rico may negotiate to establish mutually agreed
 terms and conditions for the continued use and administration of such lands
 and properties. []   (ii) The conveyance described in subsection (i) of this
 section shall be effective thirty days after the enactment of this section
 and the Legislature of the commonwealth of Puerto Rico shall have the
 authority to legislate as it shall deem advisable with respect to all such
 Crown Lands conveyed under this section.'. [] SUBPART 19. COMMUNITY VALUES []   The Puerto Rican Federal Relations Act is amended by
 inserting a new section 61 as follows: [] `SECTION 61. []   `(a) Definitions-  []   `(1) The term `antitrust laws' has the same meaning given
 such term in the first section of the Clayton Act, 15 U.S.C. section 12,
 and shall also include section 5 of the Federal Trade Commission Act,
 15 U.S.C. section 45. []   `(2) The term `person in the entertainment industry'
 means any organization, or an individual connected with any organization,
 that produces, distributes, transmits, or exhibits any form of audio or
 visual entertainment. []   `(3) The term `audio or visual entertainment' includes:
 []   `(i) video, audio, or mixed programs transmitted via
 electromagnetic waves of any frequency, whether transmitted to all receivers
 of a given type within transmission range, or to only selected receivers
 on the basis of a subscription fee or any other criteria; []   `(ii) programs transmitted by cable systems as defined
 in section 602(5)-(6) of the Cable Communications Policy Act of 1984,
 47 U.S.C. section 522(5)-(6), except that reference in 47 U.S.C. section
 522(6) to `video' shall be read as `video or audio' and references in 47
 U.S.C. section 522(6) to `television' shall be read as `television or radio';
 and []   `(iii) motion pictures, which include entertainment, using
 film, videotapes, videocassettes, compact discs, or any other functionally
 substantially equivalent medium, if admission is generally charged for such
 entertainment, or if such entertainment is generally made available to the
 public on a rental or purchase basis for private viewing. []   `The term `audio or visual entertainment' does not include
 printed or otherwise written material unless such printed or otherwise
 written material is used in any form of audio or visual entertainment
 described above. []   `(b) Upon declaration by the Governor of Puerto Rico (the
 Governor) and publication of such declaration in the official register of
 the Commonwealth of Puerto Rico, the antitrust laws shall not apply to any
 joint discussion, consideration, review, action, or agreement by or among
 persons in the entertainment industry for the purpose of, and limited to,
 developing and disseminating voluntary guidelines designed to alleviate
 the negative impact of violence, pornography, alcohol and drugs in all
 audio or visual entertainment in Puerto Rico, or in any subset of audio or
 visual entertainment in Puerto Rico as the Governor may designate in any
 declaration under this section, provided that []   `(1) no declaration by the Governor under this section
 shall operate to exempt from the antitrust laws any joint discussion,
 consideration, review, action, or agreement that results in a boycott of
 any person; and []   `(2) no declaration by the Governor under this section
 shall operate to exempt from the antitrust laws any activities conducted
 more than 36 months after such declaration by the Governor. The Governor
 may limit the effect of any declaration to a shorter period if he or she
 does so in the declaration itself. []   `(c) A declaration by the Governor under section 2
 concerning any forms of audio or visual entertainment shall not limit his
 or her authority to make future declarations concerning those forms of
 audio or visual entertainment.' [] SUBPART 20. ASSUMPTION OF BUDGETARY RESPONSIBILITIES AND
 TRANSFER OF FEDERAL FUNCTIONS []   The Puerto Rican Federal Relations Act is amended by
 inserting a new section 63, as follows: []   `The Commonwealth of Puerto Rico shall assume the
 expenses inherent in all governmental authority transferred pursuant to
 this Act. The Government of the United States, or any agency thereof; may
 from time to time delegate to the Commonwealth of Puerto Rico the total or
 partial performance of functions vested in the United States, including the
 administration of such Federal laws and programs on the island, as may be
 mutually agreed.'. [] SUBPART 21. []   The enhancements to the Commonwealth relationship adopted
 pursuant to this Act shall form part of the Compact entered upon by the
 Congress and the People of Puerto Rico in 1952. It may be amended in the same
 manner as entered upon in order to provide for the continuing enhancement
 of the Commonwealth relationship. [